Richfield Multifamily Investment
For Sale
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7427-7435 Penn Avenue South, Minneapolis, MN 55423
21-unit apartment building in desirable Richfield submarket.
Property Size10,649 SF
Price / SF$225.37
Days on Market149
Property Features for 7427-7435 Penn Avenue South
General Information
Standard status
Active
Size
10,649 SF
Property subtype
Multifamily
Investment Type
Value Add
Building Details
Year Built
1960
Units
21
Listing Agency:
Kiser Group
Listed By:
Robert Dulin · License #MN40961803
Source:
Crexi
Added: May 25
Changed: Oct 7
Last Checked: Oct 19 at 7:21AM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of Kiser Group
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Investment Insights
Based on property information with market context.
Located in the Southwest Richfield submarket, this 21-unit property offers access to I-494 and I-35W, and is situated minutes from the Mall of America and MSP Airport. The property is surrounded by retail, dining, and employment opportunities. The building, constructed in the 1960s, features primarily one-bedroom layouts of approximately 650 square feet. Rents are around $999 and up. The property presents a value-add opportunity through interior upgrades and operational improvements. Major capital improvements, including the roof, windows, and water heaters, have been completed. The property has potential for RUBS, on-site laundry income, and a low-rise design. The location provides access to shopping destinations, transportation options, and dining and entertainment venues. Residents can connect to Minneapolis, Edina, and Bloomington. The property is located in a tenant-demand-heavy corridor driven by jobs, retail, and transit.
Key Highlights
- Excellent location with immediate access to I‑494 and I‑35W, minutes from the Mall of America and MSP Airport.
- Value‑add opportunity with potential for interior upgrades and operational improvements.
- Major capital improvements completed: Roof, windows, and water heaters already replaced.
Financial Insights
Estimated NOI and Cap Rate
NOI / Yr
$121,930
Cap Rate
5.08%
Suggested Prices Based on Cap Rates
Cap Rate 5%
$2,438,600
$2.4M
Cap Rate 7%
$1,741,857
$1.7M
Cap Rate 9%
$1,354,778
$1.4M
Market Conditions
NOI Build-Up for 10,649 SF
Gross rent
$233.9K $21.96/SF
− Vacancy
−$12.2K −$1.14/SF
EGI
$221.7K $20.82/SF
− OpEx
−$99.8K −$9.37/SF
NOI
$121.9K $11.45/SF
Area
ZIP 55423
Vacancy
5.20%
Lease Rate
$21.96 /SF/Yr
Expense Ratio
45.00%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap Rate 5%
$2,438,600
Cap Rate 7%
$1,741,857
Cap Rate 9%
$1,354,778
Alternative Uses
Best Use
Apartment 5plus
$1.74M
$1.52M – $2.03M
NOI $121,930 @ 7.0% cap · market cap 5.08%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$3.12M
$2.73M – $3.64M
NOI $218,634 @ 7.0% cap · market cap 9.11%
Zoning and permitted uses should be independently verified with authorities.
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Location Intelligence
Trade Area within ½ mile
493
Businesses Nearby
Explore this area
Business Placement
Demographics for 55423, MN
37,137
Population
16,792
Households
2.2
Avg Household Size
37
Median Age
44%
College-Educated
91%
High-School Grad
7.1 sq mi
ZIP Area
5,231
Density / Sq Mi
$84,102
Median Household Income
$52,890
Median Earnings
$1,334
Median Rent
$320,300
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
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Market
Vacancy Rate% for Multifamily in Midwest region
Frequently Asked Questions
What type of property is this?
Apartment building - 21-unit apartment building in desirable Richfield submarket.
Where is this apartment building located?
The property is located at 7427-7435 Penn Avenue South Minneapolis, MN.
What is the asking price?
The asking price for this property is $2,400,000.
What are key features of this property?
This property features: Excellent location with immediate access to I‑494 and I‑35W, minutes from the Mall of America and MSP Airport.; Value‑add opportunity with potential for interior upgrades and operational improvements.; Major capital improvements completed: **Roof, windows, and water heaters already replaced**.
